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Rivian expands Service Department despite layoffs
Rivian has six new service locations that will open by the end of this year and the company is continuing to hire service staff, despite layoffs in other departments.
Last month, Rivian announced that they would be cutting staff by six percent, an announcement that could be seen as a threat to Rivian’s goal of producing 25,000 vehicles this year. However, Rivian has continued to hire both manufacturing staff and service workers to keep up with demand, leaving both departments out of the layoffs affecting the rest of the company.
With a library of 90,000 orders for the Rivian R1S and R1T as well as a 100,000-van order from Amazon, by the time Rivian has completed these orders, there will be close to a quarter of a million Rivian products on the road with many, at one point or another, requiring maintenance. Currently, this is done at one of Rivian’s 21 service locations found within the US, and six more are expected to join this group by the end of the year to keep up with service demand, Automotive News reported.
The issue of keeping up with service requests is not unique to Rivian. Legacy automakers have dealerships that are spread throughout the country to help meet the demands of consumers, however, because new EV startups (including Rivian) have chosen to bypass the dealership model and instead opt for direct-to-consumer, they now must work to construct their service network.
As demand for service can grow exponentially faster than supply, Tesla in particular has grappled with the issue for years, however, Rivian has a new opportunity to address the issue before becoming mainstream.
Rivian already employs many of the same tools as Tesla in their efforts of service; mobile service, wireless software service, and branded service stations are all already being in use. But they have other options as well, and perhaps some lessons can be learned from the legacy automakers.
One of the best things that Rivian could do to tackle service requests around the country is to allow third-party repair. While the term brings shivers to the likes of Tesla, Apple, and John Deer executives alike, it has shown to be remarkably successful at helping manufacturers keep their products in use while costing them little to nothing to do so. Ford, for instance, offers a training program that can be attended by Ford dealer technicians and third-party technicians alike, and even Tesla now offers their online repair manual for free; allowing both owners and techs to work to fix issues before the manufacturer ever has to touch them.
In the case of Rivian, the third-party repair would even help them maintain their sustainable brand image as more vehicles could be kept on the road longer, keeping waste out of landfills.
Many remain cynical that companies like Rivian will open up third-party repair options, and rightfully so. It was only a recent change that Tesla allowed access to their repair manuals for free, and the general trend of most consumer electronics is to make them harder to open and harder to fix; nonetheless, Rivian has the unique opportunity to head off these issues early. They are still a young company and can allow people to use and fix their vehicles very easily; I remain hopeful.
What do you think of the article? Do you have any comments, questions, or concerns? Shoot me an email at william@teslarati.com. You can also reach me on Twitter @WilliamWritin. If you have news tips, email us at tips@teslarati.com!
News
Tesla earns top honors at MotorTrend’s SDV Innovator Awards
MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.
Tesla emerged as one of the most recognized automakers at MotorTrend’s 2026 Software-Defined Vehicle (SDV) Innovator Awards.
As could be seen in a press release from the publication, two key Tesla employees were honored for their work on AI, autonomy, and vehicle software. MotorTrend’s SDV Awards were presented during CES 2026 in Las Vegas.
Tesla leaders and engineers recognized
The fourth annual SDV Innovator Awards celebrate pioneers and experts who are pushing the automotive industry deeper into software-driven development. Among the most notable honorees for this year was Ashok Elluswamy, Tesla’s Vice President of AI Software, who received a Pioneer Award for his role in advancing artificial intelligence and autonomy across the company’s vehicle lineup.
Tesla also secured recognition in the Expert category, with Lawson Fulton, a staff Autopilot machine learning engineer, honored for his contributions to Tesla’s driver-assistance and autonomous systems.
Tesla’s software-first strategy
While automakers like General Motors, Ford, and Rivian also received recognition, Tesla’s multiple awards stood out given the company’s outsized role in popularizing software-defined vehicles over the past decade. From frequent OTA updates to its data-driven approach to autonomy, Tesla has consistently treated vehicles as evolving software platforms rather than static products.
This has made Tesla’s vehicles very unique in their respective sectors, as they are arguably the only cars that objectively get better over time. This is especially true for vehicles that are loaded with the company’s Full Self-Driving system, which are getting progressively more intelligent and autonomous over time. The majority of Tesla’s updates to its vehicles are free as well, which is very much appreciated by customers worldwide.
Elon Musk
Judge clears path for Elon Musk’s OpenAI lawsuit to go before a jury
The decision maintains Musk’s claims that OpenAI’s shift toward a for-profit structure violated early assurances made to him as a co-founder.
A U.S. judge has ruled that Elon Musk’s lawsuit accusing OpenAI of abandoning its founding nonprofit mission can proceed to a jury trial.
The decision maintains Musk’s claims that OpenAI’s shift toward a for-profit structure violated early assurances made to him as a co-founder. These claims are directly opposed by OpenAI.
Judge says disputed facts warrant a trial
At a hearing in Oakland, U.S. District Judge Yvonne Gonzalez Rogers stated that there was “plenty of evidence” suggesting that OpenAI leaders had promised that the organization’s original nonprofit structure would be maintained. She ruled that those disputed facts should be evaluated by a jury at a trial in March rather than decided by the court at this stage, as noted in a Reuters report.
Musk helped co-found OpenAI in 2015 but left the organization in 2018. In his lawsuit, he argued that he contributed roughly $38 million, or about 60% of OpenAI’s early funding, based on assurances that the company would remain a nonprofit dedicated to the public benefit. He is seeking unspecified monetary damages tied to what he describes as “ill-gotten gains.”
OpenAI, however, has repeatedly rejected Musk’s allegations. The company has stated that Musk’s claims were baseless and part of a pattern of harassment.
Rivalries and Microsoft ties
The case unfolds against the backdrop of intensifying competition in generative artificial intelligence. Musk now runs xAI, whose Grok chatbot competes directly with OpenAI’s flagship ChatGPT. OpenAI has argued that Musk is a frustrated commercial rival who is simply attempting to slow down a market leader.
The lawsuit also names Microsoft as a defendant, citing its multibillion-dollar partnerships with OpenAI. Microsoft has urged the court to dismiss the claims against it, arguing there is no evidence it aided or abetted any alleged misconduct. Lawyers for OpenAI have also pushed for the case to be thrown out, claiming that Musk failed to show sufficient factual basis for claims such as fraud and breach of contract.
Judge Gonzalez Rogers, however, declined to end the case at this stage, noting that a jury would also need to consider whether Musk filed the lawsuit within the applicable statute of limitations. Still, the dispute between Elon Musk and OpenAI is now headed for a high-profile jury trial in the coming months.
News
Tesla Giga Shanghai celebrates 5 million electric drive unit milestone
The milestone was celebrated by the company in a post on its official Weibo account.
Tesla China has reached another manufacturing milestone at Gigafactory Shanghai, rolling out the facility’s 5 millionth locally produced drive unit.
The milestone was celebrated by the company in a post on its official Weibo account. In its post, the Giga Shanghai team could be seen posing with the 5 millionth drive unit.
Giga Shanghai’s major benchmark
The milestone drive unit was produced at Gigafactory Shanghai, which produces the Model Y and the Model 3. In a release, Tesla China noted that its three-in-one integrated electric drive system combines the motor, gearbox, and inverter into a single compact assembly. This forms a powerful “heart” for the company’s electric cars.
Tesla China also noted that its drive units’ integrated design improves energy conversion efficiency while reducing overall weight and complexity, benefits that translate into stronger performance, improved handling, and longer service life for its vehicles.
The new milestone builds on earlier achievements at the same site. In July 2024, Tesla announced that its 10 millionth electric drive system globally had rolled off the line at the Shanghai plant, making it the first self-produced Tesla component to reach that volume.
More recently, the factory also produced its 4 millionth China-made vehicle, a Model Y L. The factory has also continued hitting global production milestones, rolling out Tesla’s 9 millionth EV worldwide late last year, with the landmark vehicle being a Tesla Model Y.
Tesla China’s role
Construction of Giga Shanghai began in January 2019, with production starting by the end of that year. This made it the first wholly foreign-owned automotive manufacturing project in China. The facility began delivering Model 3 vehicles locally in early 2020 and added Model Y production in 2021. The plant is now capable of producing about 1 million vehicles annually.
Throughout 2025, Giga Shanghai delivered 851,732 vehicles, representing a 7.08% year-on-year decline, according to data compiled by CNEVPost. Even so, recent months showed renewed momentum.
In December alone, Tesla China recorded wholesale sales of 97,171 vehicles, including domestic deliveries and exports, making it the company’s second-best monthly total on record, per data from the China Passenger Car Association. Retail sales during December reached roughly 94,000 units, up about 13% year over year.
Tesla earns top honors at MotorTrend’s SDV Innovator Awards
Judge clears path for Elon Musk’s OpenAI lawsuit to go before a jury
